Shaping Affordable Housing Through Inclusionary Zoning

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On September 21, 2023, New Brunswick’s Lieutenant-Governor in Council enacted Regulation 2023-52, known as the Inclusionary Zoning Regulation under the Community Planning Act (O.C. 2023-197). This regulation is designed to address housing affordability by providing municipalities with guidelines for implementing inclusionary zoning, which facilitates the development of affordable housing within new residential projects. Formally cited as the Inclusionary Zoning Regulation – Community Planning Act, it derives its authority from Section 124 of the Community Planning Act, establishing the prerequisites for municipal plans, zoning by-laws, and rural community plans that incorporate inclusionary zoning policies.

To authorize inclusionary zoning, municipalities must meet several requirements. Municipal plans must contain explicit policy statements on inclusionary zoning, while zoning by-laws must include related provisions as specified in the regulation. Additionally, rural plans for villages or communities must establish similar policy statements and zoning provisions. These requirements ensure that inclusionary zoning becomes a fundamental aspect of municipal planning, promoting the development of affordable housing in various community contexts.

The regulation outlines specific elements that must be included in the zoning provisions. This includes the identification of land areas where inclusionary zoning applies, clarification on the types and sizes of developments subject to these provisions, and specifications regarding the types and sizes of housing units that qualify under inclusionary zoning. The minimum duration for which these provisions apply is set at ten years. The regulation also provides clear definitions of “affordable housing” to standardize what constitutes affordable housing, details on the number of housing units or the gross floor area ratios necessary to meet the criteria, and information on available zoning options for developers, including the possibility of payment in lieu of providing affordable housing. Additionally, it outlines guidelines for managing and allocating funds from payments or conversions of affordable housing units, stipulates the intended uses for these funds, and establishes procedures for ongoing assessment and reporting of affordable housing provisions under inclusionary zoning.

The regulation specifies certain exemptions from its provisions, notably for affordable housing projects undertaken by not-for-profit organizations and those initiated by the Government of Canada or the Province. These exemptions recognize the unique roles these entities play in the affordable housing sector and acknowledge their capacity to operate independently of municipal regulations.

By establishing a clear framework for inclusionary zoning, it empowers municipalities to integrate affordable housing into their planning processes and underscores the importance of cooperation among various levels of government and community stakeholders. With this implementation, New Brunswick aims to create a more inclusive housing market that better meets the needs of its residents.

New Brunswick (2023-52) September 23, 2023